For Fortune 100 companies, Maarten De Jeu is a highly recognized strategic advisor. He assists individual investors in attaining long and short-term investment goals by using investment opportunities in commercial real estate to their advantage. He teaches that it is extremely beneficial to use commercial real estate as a pillar of investment holdings. He also advises that becoming involved in real estate is now easier as the opportunity to invest in real estate has become more accessible for average investors. These hard asset investments are lucrative and in the past were only reserved for institutions or extremely wealthy investors. With increased access to projects in commercial real estate, individual investors can pool their investment efforts.
Maarten De Jeu realizes how broad the category is for commercial real estate investment in for-profit properties. These include office buildings, warehouses, industrial parks, multi-use complexes, warehouses, manufacturing facilities, and retail spaces. The difference between commercial and residential properties is that residential properties are used solely as housing. Commercial properties, on the other hand, are typically a great deal larger and significantly more expensive to build, purchase and maintain than single-family homes. This is what prevented individual investors from taking advantage of commercial real estate investment opportunities. Recent changes in the laws that affect investment allow expanded access to the benefits of commercial real estate ownership equity.
The 2012 Jumpstart Our Business Startups Act (JOBS) was one of the largest changes in recent years. The act permitted businesses to use crowdfunding to attract individual investors who otherwise did not have sufficient enough capital to invest in a new business venture. This differs from crowdfunding’s donation model where individuals contribute to a cause without ownership or a return on their investment. At a minimum of $5,000, non-accredited investors can invest in commercial real estate that has been pre-selected. One option available to commercial real estate crowdfunding investors is the monthly collection of interest payments form a borrower’s secured loan payments. Either option allows the investor to reinvest gains from the initial investment into other invests that will allow tax advantages. Learn more: https://www.chicagobusiness.com/article/20150917/BLOGS03/150919840/bill-clinton-schmoozes-with-chicago-ceos-to-fundraise-for-hillary
Unlike traditional investments involving stocks and bonds, investment in commercial real estate is based on particular assets that do not involve selling the investment according to market fluctuations. As well, property investment is insulated from the factors that make stock market investing risky. There are also minimal associated investment fees. Securing mutual funds and a traditional investment portfolio requires a certified financial advisor whereas commercial real estate investment does not require the same level of management fees. Tracking and monitoring the performance of the individual real estate investor’s assets is highly efficient and cost-effective for them due to having online access.
It is wise for any investor to prioritize diversification in terms of investment strategies. There are diversification opportunities in commercial real estate that simply do not exist in traditional investments. An expected return form monthly rent reduces concerns about dips in the stock market as those changes do not affect the occupancy of a building or the amount of rent collected.